Related Articles

If you enjoy crafts, such as sewing and quilting, and feel there is a need for more choices of fabric in your local area, you might start your own fabric shop. With a fabric shop, you can offer your customers the choice to purchase fabric in store or by setting up an e-commerce website for them to shop at anytime. According to Entrepreneur, an online business resource, "Fabric shops have traditionally been very profitable specialty retail operations as the markups applied to fabrics for retail sales can exceed 100 percent or more." To open a store, you should be prepared to have approximately $10,000 to $50,000 in startup capital, according to Entrepreneur.

1.

Compile a list of ideas for your fabric shop. List what colors and textures of fabrics you will offer in your shop, where you plan on purchasing your inventory from and what other services you will offer. Many fabric shops also offer quilting classes or beginning quilting lessons to attract a different type of customer to their store. Some will also offer specialty machines for purchase or quilt-for-hire services from the shop. Envision what your business will be like and list out everything you want to accomplish.

2.

Design a fabric shop plan for conducting business. Include the purpose and mission of your business and what need you are going to fill within your community by opening up a shop. Developing a business plan ahead of opening your business will give you a good idea of how much money you will need to conduct operations at your new business. Search for private investors to pitch your business plan to to obtain money for starting up your new business.

3.

Register your new fabric shop's business name with your secretary of state. This is the name that you will include in advertising and all business correspondence. Also register a domain name online if you wish to offer your products over the Internet. Visit the Internal Revenue Services for obtaining an Employer Identification Number for your fabric shop to use when paying business taxes. Your state's department of revenue office will require your business to have a sales tax identification number if you will be conducting business within your state and your state requires the collection of sales tax. There could also be additional business licenses or permits you will need for your fabric shop. Business.gov has a list of what you will need in each state.

4.

Visit available business space in your city and determine where you will open your new fabric shop. Be sure to choose a place that attracts the public and has adequate parking and parking lot lighting in case you decide to hold classes of an evening. Hire a web designer to create an online e-commerce website for you so that your store can be selling fabric even during hours that you are not open for business.

5.

Purchase your inventory. Visit the manufacturers that you made a list of when brainstorming your business ideas. Sign up to become a retailer for their products and start purchasing product. Another option available today is creating your own fabric. This will allow you to further customize your shop to your location if you can design your own fabric and have it printed for sale in your shop.

6.

Hire trustworthy employees to help out with your business. Depending on your hours of operation, you will want to be open as much as you can for customers to purchase your product. Because you will be physically unable to be at your store at all times, hire some employees that you feel are trustworthy and can help you out with cutting fabric or running the cash register and answering questions at your business.

7.

Promote your fabric shop. Start a social media campaign by creating Facebook, Twitter and LinkedIn accounts to promote your business to all of your friends and family. If they share with others on their list, then your business name could be in front of hundreds of people instantly. Create a blog on your website to give users hints and tips for sewing and quilting. Run contests from your store for your customers to participate in. Conduct training classes for people who don't know how to sew and teach them so that they can use your products. Network with others at local events and trade shows to promote your business.

Things Needed

Fabric

References (3)

About the Author

Amanda Long has been freelance writing since 2010. Specializing in technology, crafts and business practices, her articles appear on eHow and Answerbag. Long has also been published in user-training manuals. Long holds a Bachelor of Science in marketing and business management from Northwest Missouri State University.